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Cca State of California and Corrections Corporation of America a Strong Start With a Great Future Contract Announcement 2008

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State of California and Corrections Corporation of America 
“A Strong Start with a Great Future” 

Corrections  Corporation  of  America  (CCA)  has  a  25­year  record  of  consistent,  high­quality 
services  to  federal,  state  and  local  governments.  CCA  recently  entered  into  an  agreement  with 
California  to  house  over  8,000  California  inmates.    CCA  is  extremely  proud  of  its  relationship 
with  the  State  of  California  and  welcomes  the  opportunity  to  provide  some  immediate  relief  to 
California’s prison system. 
The State of California­CCA partnership officially began at the end of 2006.  By June 30, 2008, 
CCA  expects  to  be  housing  nearly  5,000  California  inmates.    CCA  is  also  well  into  the 
construction  of  a  new  $205  million  facility  in  the  Arizona  desert  which  will be  used  exclusively 
to  house  3,060  California  inmates.    The  first  of  these  additional inmates are scheduled to arrive 
in July 2008. 
In  addition  to  helping  California  deal  with  its  prison  overcrowding  problem,  CCA  is  also 
delivering  significant  cost  savings  for  the  state.    The  current  contracted  rate  per  day  for  a 
California  inmate  at  a  CCA  facility  is  $63,  compared  to  an  overall  cost  of  $126  per  day  at  a 
California  Department  of  Corrections  and  Rehabilitation  facility.  As  a  result,  CCA  saves 
California roughly 50% of the average daily cost to house an inmate. 
In  its  first  year  (2007),  the  CCA  partnership  saved  the  State  of  California  over  $18.4  million. 
Even with moderate rate adjustments and a slightly higher rate for the newly constructed Arizona 
facility,  the  level  of  cost  savings  to  California  will  only  increase  over  the  next  few  years  –  $57 
million savings in 2008; $159 million savings in 2009; and $194 million savings in 2010. 
As  the  national  leader  in  the  area  of  correctional  services,  CCA  is  pleased  to  be  part  of 
California’s inmate management solution.  In light of California’s growing budget deficit, we are 
also pleased to help reduce state costs in this area. 
Please contact John Latimer at Capitol Advocacy (916­444­0400) or Brad Regens at CCA (602­ 
319­8377) for additional information in this regard. 

February 13, 2008

10 Burton Hills Boulevard, Nashville, Tennessee 37215, Phone: 615­263­3000, Fax: 615­263­3100